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Punjab Launches Austerity Drive With Pay Cuts and Vehicle Purchase Ban

Officials frame the step as a quick response to regional conflict pressures.

Overview

  • The provincial Efficiency and Austerity Committee, which met Thursday, approved cuts now in force through a Finance Department notice.
  • Cabinet members will forgo pay for two months, BS-17 and above officers lose two days' basic pay, MPAs face a 25% cut for two months, and public-sector board fees are paused.
  • A blanket halt on new government vehicle purchases is in place unless cleared by the Finance Department, with offices told to limit on-site staff, close unused rooms, and shift meetings online to cut fuel and power use.
  • Departments must file weekly reports that quantify savings, and officials signaled tighter controls on nonessential development spending while urging private firms to adopt similar steps.
  • Reports link the move to Iran-related regional strain, with Business Recorder referring to a war and The Nation noting tensions, as Punjab seeks to safeguard resources in Pakistan’s largest province.